Investment of Chinese companies in Brazil may reach $20 billion in 2017

Chinese companies intend to invest about US$20 billion in purchasing Brazilian assets in 2017, an increase of 68% compared to US$11.9 million invested in 2016, according to the Brazil-China Chamber of Commerce and Industry (CCIBC), reports Macauhub, a Macau-based Internet site.

According to Macauhub the chairmanof the CCIBC, Charles Tang told the Brazilian press that there are dozens of Chinese companies that looks to Brazil as an investment opportunity. Among the companies that consider invest in Brazil are China Souther Power Grid, Huaneng, Huadian, Shanghai Electric, SPIC and Goudian.

Besides the newcomers, there exist others that are already installed in Brazil and intend to expand business, as is the case of China State Grid that last year acquired CPFL (Companhia Paulista de Força e Luz) or the China Communications Construction Company which acquired Concremat Engenharia e Tecnologia and Pengxin, that bought stakes at agricultural companies Fiagril and Belagrícola.

In coming months, still according to Macauhub, several deals are due to be concluded, including Shanghai Electric paying 3.3 billion reais for the power transmission projects of Eletrosul Centrais Eléctricas, as well as of SPIC, which plans to buy Hidroelectrica de Santo António and CCCC, which is eyeing several assets ranging from construction companies to railways.